Governor of the Bank of Korea, Rhee Chang-yong: Korea's Policy Rate is on a Downward Trend

According to Yonhap News Agency, Governor of the Bank of Korea, Rhee Chang-yong, stated that although monetary policy remains cautious, the central bank's key rate will decrease due to stabilized inflation. Yonhap reported Rhee's remarks to reporters while attending the International Monetary Fund (IMF) annual meeting in Washington, indicating that the timing and pace adjustments of the easing cycle do not mean rates won't be lowered. He also mentioned that following the economic contraction in the first quarter, the Bank of Korea might further lower its economic growth forecast for this year, without specifying details. The bank has already cut its forecast multiple times, most recently to 1.5% for 2025.